USD/CHF Technical Analysis for the Week of October 24, 2011

USD/CHF fell this previous week as traders dumped the USD in mass on Friday. The hope that the EU is going to produce some kind of massive bailout package over the weekend is part of what is fueling the massive short-USD positions, and as a result it is pushing the USD down against most other currencies as well. The CHF was no exception. The pullback should be looked at as an opportunity to buy, but perhaps a little closer to the 0.8500 level as it looks like solid support. The weekend is going to produce fireworks more than likely, and as a result – this pair will be much clearer by the time Monday or even Wednesday rolls around, as there is a second EU meeting on Wednesday now.